MRO stands for maintenance, repair, and operations, and it refers to all the activities needed to keep a companys facilities and production processes running smoothly. MRO inventory comprises the consumable materials, equipment, and supplies needed for maintenance, repair, and operations activities. MRO includes items that are used in a production process but are not incorporated into a companys finished products, such as spare parts and tools for repairing manufacturing equipment, gloves, and goggles used by plant workers. MRO is an essential part of doing business, as it ensures facilities, equipment, systems, and tools are stocked, maintained, and safe to use. MRO inventory can account for a significant portion of a companys overall procurement spend, so its important to apply efficient MRO inventory management processes that minimize costs while ensuring the company has just enough inventory to meet its needs.